{"id":7911,"date":"2020-01-21T10:30:34","date_gmt":"2020-01-21T05:00:34","guid":{"rendered":"http:\/\/www.apnaplan.com\/?p=7911"},"modified":"2020-01-21T11:19:55","modified_gmt":"2020-01-21T05:49:55","slug":"calculate-income-tax-senior-citizen-salary-pension-interest-income","status":"publish","type":"post","link":"https:\/\/www.apnaplan.com\/calculate-income-tax-senior-citizen-salary-pension-interest-income\/","title":{"rendered":"How to Calculate Income Tax for Senior Citizen with Salary, Pension &#038; Interest Income? (FY 2019-20)"},"content":{"rendered":"<p style=\"text-align: justify;\">I often get request to <span style=\"text-decoration: underline;\"><strong>calculate income tax<\/strong> <\/span>for readers and<span style=\"text-decoration: underline;\"><strong> how they can save more tax!<\/strong><\/span> It\u2019s not possible for me to calculate it for everyone. So going forward I would pick cases and <strong>show how to calculate income tax and if there is scope to save additional tax.<\/strong><\/p>\n<p style=\"text-align: justify;\"><strong><span style=\"color: #0000ff;\">Below is the comment I received:<\/span><\/strong><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #008000;\">Dear Amit,<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #008000;\">Pl calculate my income tax.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #993300;\">I would retire on 31 Jul 2019.&nbsp; My income from Apr 19 to Jul 19 is Rs. 2,50,000.&nbsp; Thereafter I would get pension @ Rs. 18,700 per month.&nbsp; As on 31 Mar 20 estimate interest on my FDs is Rs. 2,00,000. I have invested Rs. 2,00,000 in senior citizen scheme.&nbsp; Pl confirm how much income tax I have to Pay?<\/span><\/p>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>Download:&nbsp;<\/strong><a href=\"https:\/\/www.apnaplan.com\/how-to-save-tax-fy2019-20\/\">Tax Planning Guide for FY 2019-20&nbsp;<\/a><\/p>\n<\/blockquote>\n<h2 style=\"text-align: justify;\">Income Tax Calculation:<\/h2>\n<p style=\"text-align: justify;\">As far as possible I would use the format used in filing income tax returns so that its more helpful for everyone.<\/p>\n<p style=\"text-align: justify;\">We first calculate the <strong>total income for the financial year (FY 2019-20)<\/strong><\/p>\n<ul>\n<li style=\"text-align: justify;\">Income from Salary (April to July 2019) \u2013 Rs 4,00,000<\/li>\n<li style=\"text-align: justify;\">Income from Pension (August\u201919 to March\u201920) \u2013 Rs 1,49,600 (Rs 18,700 * 8)<\/li>\n<li style=\"text-align: justify;\">Income from Interest on Fixed Deposit \u2013 Rs 2,00,000<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>Total Income = Rs 7,49,600<\/strong><\/p>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>Download:<\/strong>&nbsp;<a href=\"https:\/\/www.apnaplan.com\/income-tax-calculator-2018-19-ay-2019-20-excel-download\/\">Income Tax Calculator for FY 2019-20 [AY 2020-21]<\/a><\/p>\n<\/blockquote>\n<p style=\"text-align: justify;\">The table below calculates the income tax:<\/p>\n<table style=\"width: 100%; height: 711px;\" width=\"771\">\n<tbody>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\" width=\"291\"><strong>Header<\/strong><\/td>\n<td style=\"text-align: center; height: 44px;\" width=\"111\"><strong>Amount (RS.)<\/strong><\/td>\n<td style=\"height: 44px;\" width=\"369\"><strong>Remarks (FY 2019-20)<\/strong><\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\">Income from Salary<\/td>\n<td style=\"text-align: center; height: 44px;\">5,49,600<\/td>\n<td style=\"height: 44px;\" width=\"369\">Pension Income is considered as Salary Income<\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\">Income from Other Sources<\/td>\n<td style=\"text-align: center; height: 44px;\">2,00,000<\/td>\n<td style=\"height: 44px;\" width=\"369\">Interest income is considered as income from other sources<\/td>\n<\/tr>\n<tr style=\"height: 24px;\">\n<td style=\"height: 24px;\"><strong><span style=\"color: #008000;\">Total Income<\/span><\/strong><\/td>\n<td style=\"text-align: center; height: 24px;\"><strong><span style=\"color: #008000;\">7,49,600<\/span><\/strong><\/td>\n<td style=\"height: 24px;\" width=\"369\">&nbsp;<\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\" colspan=\"3\"><strong>Tax Saving\/Exemption Sections<\/strong><\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\"><a href=\"https:\/\/www.apnaplan.com\/standard-deduction-salary-pension\/\">Standard Deduction<\/a><\/td>\n<td style=\"text-align: center; height: 44px;\">50,000<\/td>\n<td style=\"height: 44px;\" width=\"369\">Applicable for Pension\/Salary Income<\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\"><a href=\"https:\/\/www.apnaplan.com\/sec-80ttb\/\">Sec 80TTB<\/a> (FD Interest Exemption)<\/td>\n<td style=\"text-align: center; height: 44px;\">50,000<\/td>\n<td style=\"height: 44px;\" width=\"369\">Introduced in Budget 2018 for Senior Citizens<\/td>\n<\/tr>\n<tr style=\"height: 86px;\">\n<td style=\"height: 86px;\"><a href=\"http:\/\/www.apnaplan.com\/senior-citizens-savings-scheme\/\">Senior Citizen Saving Scheme<\/a><\/td>\n<td style=\"text-align: center; height: 86px;\">1,50,000<\/td>\n<td style=\"height: 86px;\" width=\"369\">Even if you invest Rs 2 Lakhs in SCSS the tax deduction would be limited to Rs 1.5 Lakhs only u\/s 80C<\/td>\n<\/tr>\n<tr style=\"height: 24px;\">\n<td style=\"height: 24px;\"><strong><span style=\"color: #008000;\">Total Deduction<\/span><\/strong><\/td>\n<td style=\"text-align: center; height: 24px;\"><strong><span style=\"color: #008000;\">2,50,000<\/span><\/strong><\/td>\n<td style=\"height: 24px;\" width=\"369\">&nbsp;<\/td>\n<\/tr>\n<tr style=\"height: 24px;\">\n<td style=\"height: 24px;\">Taxable Income<\/td>\n<td style=\"text-align: center; height: 24px;\">4,99,600<\/td>\n<td style=\"height: 24px;\" width=\"369\">Total Income &#8211; Total Deduction<\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\">Tax Exemption Limit for Senior Citizens<\/td>\n<td style=\"text-align: center; height: 44px;\">3,00,000<\/td>\n<td style=\"height: 44px;\" width=\"369\">&nbsp;<\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\"><strong><span style=\"color: #008000;\">Net Taxable Income<\/span><\/strong><\/td>\n<td style=\"text-align: center; height: 44px;\"><strong><span style=\"color: #008000;\">1,99,600<\/span><\/strong><\/td>\n<td style=\"height: 44px;\" width=\"369\">Taxable Income &#8211; Exemption Limit<\/td>\n<\/tr>\n<tr style=\"height: 24px;\">\n<td style=\"height: 24px;\">Tax @ 5%<\/td>\n<td style=\"text-align: center; height: 24px;\">9,980<\/td>\n<td style=\"height: 24px;\" width=\"369\">The tax slab comes at 5%<\/td>\n<\/tr>\n<tr style=\"height: 65px;\">\n<td style=\"height: 65px;\"><a href=\"https:\/\/www.apnaplan.com\/section-87a\/\">Tax Rebate up to Rs 12,500 u\/s 87A<\/a>&nbsp;<\/td>\n<td style=\"text-align: center; height: 65px;\">-9,980<\/td>\n<td style=\"height: 65px;\" width=\"369\">The Taxable income is less than Rs 5 lakhs and hence eligible for Tax Refund u\/s 87A<\/td>\n<\/tr>\n<tr style=\"height: 24px;\">\n<td style=\"height: 24px;\"><strong><span style=\"color: #008000;\">Net Income Tax<\/span><\/strong><\/td>\n<td style=\"text-align: center; height: 24px;\"><strong><span style=\"color: #008000;\">0<\/span><\/strong><\/td>\n<td style=\"height: 24px;\" width=\"369\">Tax &#8211; Tax Rebate<\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\">Health &amp; Education Cess @ 4%<\/td>\n<td style=\"text-align: center; height: 44px;\">0<\/td>\n<td style=\"height: 44px;\" width=\"369\">Cess increased to 4% in Budget 2018<\/td>\n<\/tr>\n<tr style=\"height: 44px;\">\n<td style=\"height: 44px;\"><span style=\"color: #008000;\"><strong>Total Income Tax Payable (including cess)<\/strong><\/span><\/td>\n<td style=\"height: 44px; text-align: center;\"><span style=\"color: #008000;\"><strong>0<\/strong><\/span><\/td>\n<td style=\"height: 44px;\" width=\"369\">No Tax is Payable<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: justify;\"><b>The total tax comes out to be NIL because of the <a href=\"https:\/\/www.apnaplan.com\/section-87a\/\">increase in tax rebate u\/s 87A<\/a> and increase in <a href=\"https:\/\/www.apnaplan.com\/standard-deduction-salary-pension\/\">Standard Deduction on Pension Income<\/a> in Budget 2019. Additionally <a href=\"https:\/\/www.apnaplan.com\/sec-80ttb\/\">Section 80TTB<\/a><\/b><a href=\"https:\/\/www.apnaplan.com\/sec-80ttb\/\"> (exemption up to Rs 50,000 on interest income)<\/a><b>&nbsp;introduced in Budget 2018 helps further.<\/b><\/p>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>Also Read:<\/strong> <a href=\"https:\/\/www.apnaplan.com\/budget-2019-key-changes-income-tax-rules\/\">5 Key changes in Income Tax Rules from April 1, 2019 that you must Know<\/a><\/p>\n<\/blockquote>\n<h2 style=\"text-align: justify;\">Recommendation to Save Tax if Income Increases:<\/h2>\n<p style=\"text-align: justify;\"><em>Disclaimer: The recommendation is made based on limited information we have!<\/em><\/p>\n<p style=\"text-align: justify;\">As he pays NO tax there is nothing much to worry. He could use following tax benefits in case the income increases:<\/p>\n<ol>\n<li style=\"text-align: justify;\"><a href=\"http:\/\/www.apnaplan.com\/80gg-rent-tax-benefit\/\">Sec 80GG in case you live on rent<\/a> and do not own a house (deduction up to Rs 60,000)<\/li>\n<li style=\"text-align: justify;\"><a href=\"http:\/\/www.apnaplan.com\/tax-benefit-health-insurance-sec80d\/\">Section 80D for Health Insurance <\/a>Premium<\/li>\n<\/ol>\n<p>He is also eligible to submit Form 15H against his fixed deposits to prevent any TDS (<strong>Learn<\/strong>: <a href=\"https:\/\/www.apnaplan.com\/how-fill-form-15g-15h\/\">How &amp; when to Fill Form 15H?<\/a>).<\/p>\n<p style=\"text-align: justify;\">Also for senior citizens <a href=\"http:\/\/www.apnaplan.com\/senior-citizens-savings-scheme\/\">SCSS is one of the best investments <\/a>for regular income. So he choose the right investment for tax saving.<\/p>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>Also Read:&nbsp;<\/strong><a href=\"http:\/\/www.apnaplan.com\/best-tax-saving-investments-80c\/\">Best Tax Saving Investments u\/s 80C<\/a><\/p>\n<\/blockquote>\n<p style=\"text-align: justify;\">Let me know if this was helpful and you have any other suggestions!<\/p>\n<figure id=\"attachment_7916\" aria-describedby=\"caption-attachment-7916\" style=\"width: 1008px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-7916\" src=\"http:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income.png\" alt=\"Calculate Income Tax for Senior Citizen with Salary &amp; Pension and Interest Income\" width=\"1008\" height=\"553\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income.png 1008w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income-300x165.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income-768x421.png 768w\" sizes=\"(max-width: 1008px) 100vw, 1008px\" \/><figcaption id=\"caption-attachment-7916\" class=\"wp-caption-text\"><strong>Calculate Income Tax for Senior Citizen with Salary &amp; Pension and Interest Income<\/strong><\/figcaption><\/figure>\n\n","protected":false},"excerpt":{"rendered":"<p>I often get request to calculate income tax for readers and how they can save more tax! It\u2019s not possible for me to calculate it for everyone. So going forward I would pick cases and show how to calculate income tax and if there is scope to save additional tax. Below is the comment I [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7916,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[37,3013,6],"tags":[3318,3317],"uagb_featured_image_src":{"full":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income.png",1008,553,false],"thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income-150x150.png",150,150,true],"medium":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income-300x165.png",300,165,true],"medium_large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income-768x421.png",768,421,true],"large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income.png",1008,553,false],"1536x1536":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income.png",1008,553,false],"2048x2048":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income.png",1008,553,false],"yarpp-thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/03\/Calculate-Income-Tax-for-Senior-Citizen-with-Salary-Pension-and-Interest-Income.png",120,66,false]},"uagb_author_info":{"display_name":"Amit","author_link":"https:\/\/www.apnaplan.com\/author\/admin\/"},"uagb_comment_info":24,"uagb_excerpt":"I often get request to calculate income tax for readers and how they can save more tax! It\u2019s not possible for me to calculate it for everyone. So going forward I would pick cases and show how to calculate income tax and if there is scope to save additional tax. Below is the comment I&hellip;","_links":{"self":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/7911"}],"collection":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/comments?post=7911"}],"version-history":[{"count":0,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/7911\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media\/7916"}],"wp:attachment":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media?parent=7911"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/categories?post=7911"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/tags?post=7911"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}